Australia Green Building Market

Australia Green Building Market Overview:

The Australia green building market size reached USD 3.2 Billion in 2023. Looking forward, IMARC Group expects the market to reach USD 5.2 Billion by 2032, exhibiting a growth rate (CAGR) of 5.40% during 2024-2032. The market is experiencing steady growth driven by the rising stringency of energy standards, implementation of building rules under the National Construction Code, growing popularity of sustainability certifications like Green Star, the advent of ESG investment trends, and the rising value of green real estate assets.

Australia Green Building Market Trends:

Government regulations and incentives

The market is majorly driven by a confluence of government incentives and strict regulations that promote sustainable construction. The federal government enforces energy standards and building codes, such as the National Construction Code (NCC), to ensure sustainability requirements are met in new projects and major renovations. In New South Wales, additional legislation like the Building Sustainability Index (BASIX) further supports these efforts. Additionally, green building regulations require developers, architects, and builders to design their structures based on green criteria, so they adhere to energy consumption limits, water usage limits, and carbon emission regulations. Furthermore, other local and state governments provide a wide variety of financial inducements such as rebates and grants to promote the construction of green-certified buildings. Programs such as the Green Star rating system by the Green Building Council of Australia (GBCA) have been established as a benchmark for sustainable design, construction, and operations, driving developers toward achieving sustainability certification. Moreover, the implementation of federal-level net-zero emission targets is increasing demand for less waste-heavy construction as businesses compete to comply with new regulations and take advantage of incentives.

Corporate sustainability goals and ESG investment

The Australian business landscape is increasingly supplemented by rising corporate sustainability goals and ESG criteria, driving the shift towards green practices. A growing number of businesses particularly multinational corporations and large enterprises are adopting more sustainable practices to conform with global standards. This trend is driven by pressure from consumers, investors, and regulators for responsible corporate practices. Responsive businesses are incorporating green buildings as a part of their corporate real estate portfolio to project sustainability and enhance their social standing, which is further propelling the market growth. Moreover, investors are offering additional attention to ESG characteristics in how they assess the long-term sustainability of their investments. In a growing number of instances, green buildings, with lower operational costs, reduced carbon footprints, and improved internal environmental quality, are regarded as valuable investments. In addition, green real estate assets are maintaining their value over time due to reduced maintenance costs and improved operational efficiency, making them a good choice for investors and corporate tenants. The dual focus on corporate sustainability agendas and ESG-focused investment is creating a strong demand for green buildings in the market.

Australia Green Building Market News:

• On September 7, 2023, the Green Building Council of Australia (GBCA) launched the Green Star Performance v2, marking a new phase in sustainable building assessment. The updated tool emphasizes practical, flexible solutions for reducing environmental impact while improving building performance. It aims to help building owners and operators meet evolving sustainability standards with a more user-friendly and accessible approach.

Australia Green Building Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on product type and end user.

Product Type Insights:

• Exterior Products
• Interior Products
• Building Systems
• Solar Products
• Others
   

The report has provided a detailed breakup and analysis of the market based on the product type. This includes exterior products, interior products, building systems, solar products, and others.

End User Insights:

• Residential
• Commercial
• Industrial
• Others
   

A detailed breakup and analysis of the market based on the end user have also been provided in the report. This includes residential, commercial, industrial, and others.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Green Building Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia green building market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the Australia green building market?
• What is the breakup of the Australia green building market on the basis of product type?
• What is the breakup of the Australia green building market on the basis of end user?
• What are the various stages in the value chain of the Australia green building market? 
• What are the key driving factors and challenges in the Australia green building?
• What is the structure of the Australia green building market and who are the key players?
• What is the degree of competition in the Australia green building market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia green building market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia green building market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia green building industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.